Interest Only ARM Calculator

Online Interest Only ARM Calculator

Interest only adjustable rate mortgages require you to pay only the interests for a predetermined period. This calculator will help you out to reveal the starting monthly payment, total payments, total interest, and amount of maximum payment for the interest only ARM you are analyzing.
Interest Only Adjustable Rate Mortgage (ARM)
This is a special type of mortgage contract that is amortized with the interest rates first for a selected period and after that payments are increased for the rest of the period to repay the reaming amount. The following chart shows different terms for interest only ARM.
Interest Only ARM Mortgage Options
Type of interest only ARMExplanation
30 year fixed15 years of fixed interest payment and 15 years of ARM.
10/1 ARM10 years of fixed interest payment and 20 years of ARM.
7/1 ARM7 years of fixed interest payment and 23 years of ARM.
5/1 ARM5 years of fixed interest payment and 25 years of ARM.
3/1 ARM3 years of fixed interest payment and 27 years of ARM.
Mortgage amount
Actual or anticipated value of the mortgage.
Starting interest rate
Initial rate of interest charged annually on the mortgage.
Starting monthly payment
Monthly amount of total payment based on  current month’s beginning balance and the initial interest rate.
Total payments
Assuming no prepayments, this is the total amount of all the monthly payments.
Total interest
Total amount of interests paid during the whole amortization period.
Months rate is fixed
This field indicates the number of months the interest rate will remain fixed.
Months between adjustments
Number of months after which the next adjustment will take place.
Expected adjustment
Your expected rate of change in the interest rate. This rate is responsible for increasing or decreasing the prevailing rate.
Interest rate cap
The highest rate of interest that the creditor is allowed to charge on the mortgage.